Retirement Planning - Money Not Math

Priorities and timing are everything. Money Not Math 147 with Joe Hedrick - TRF Airport Manager Listen to this Money Not Math conversation to learn more about Joe, how the airport works, and the lessons Joe has learned running this $1,000,000 per year business. What brought Joe to TRF and how did he become the manager of the TRF airport? From compliance to snowplowing to shaking hands with the gov...

I love to help people have more confidence in their future and it is my mission to provide the highest quality advice and service possible to my clients. To accomplish this, I limit myself to having 100 active clients or less that I have a fiduciary responsibility to at all times. Rather than trying to sell as many hot dogs (or products) to as I can to as many people possible even if they do not n...

Tough Times Can Lead to Amazing Opportunities. Money Not Math 146 with John Ensley   How a failed business plan and everything falling apart led to a new business opportunity for an avid sailor. Build the lifestyle you want for your future.   How the journey of self-discovery led to the value John provides his clients= Freedom, Adventure, and Service. Are you making choices because you want to mak...

What is a Backdoor Roth IRA and how should I set it up? Money Not Math 145 When should you avoid this strategy? What makes a backdoor Roth IRA Different? Do you pay taxes on backdoor Roth IRAs? Are backdoor Roth IRAs worth it? How much can I contribute? What are alternatives to backdoor Roth IRAs? Article referenced, https://investor.vanguard.com/investor-resources-education/article/how-to-set-up-...

What would a recession mean for stock returns? Money Not Math 144 Recession concerns have been a fixture in the news lately and pretty much always are because it’s easier to sell ads with negativity rather than optimism. Investors should be aware that recession announcements are backward-looking compared to the markets that are forward-looking. In fact, recessions are often announced after the mar...

Secure Act 1.0 adds new considerations for spouse beneficiaries. The spouse beneficiary is among the few eligible to take RMDs from inherited accounts over their life expectancy rather than within 10 years. Three options available= 1) Beneficiary IRA 2) Treat-as-own 3) Rollover to their own. Choosing the Right options: “Ultimately, which option is right for a spouse beneficiary depends on their be...

“The Cost of Claiming Social Security Before Full Retirement Age… The median loss from early claiming in the present value of household lifetime discretionary spending was a whopping $182,370.” “Why aren’t more people delaying social security claims? In 2021, 31% of retired worker claims were made by people age 62…” “What Raising the Full Retirement Age Would Mean for Younger Workers… Every 12-mon...

How to Invest Better and Live Better. Money Not Math 141 Referencing the 2023-Dimensional Matrix Book. David Booth, Founder and Chairman of Dimensional. - “Having a good investment experience is about more than returns. What matters just as much—maybe even more—is how people feel along their financial journey.” The Power of Compounding by Stacey Winning, Chief Talent Officer Control What You Can b...

1 in 4 Americans filled out an NCAA basketball bracket. Add in all the other sports and that’s a lot of Americans guessing on the outcome of sports they can’t control. Picking winners is hard! An informed approach improves your odds. Good luck and good strategy are not the same thing. The thrill of participating in a playoff bracket or pool. You get a fresh start in a playoff bracket each year. Un...

When Headlines Worry You, Bank on Investment Principles. Money Not Math 139   While every investor’s plan is a bit different, ignoring headlines and focusing on the following investment principles may help you avoid making shortsighted missteps that could cost you.   1)     Uncertainty is unavoidable. 2)     Market Timing is Futile. 3)     “Diversification is your buddy.” – Nobel laureate Merton M...

What does it feel like to make over 9% annualized return on your money? Money Not Math 138   If you had a $300,000 on 3/1/18, here’s what that looked like next 5 years: 3/1/18: $300,000 3/1/19: $317,265 (Annualized S&P 500 Return with Dividends Reinvested= 5.755%) 3/1/20: $305,923 (-3.575%) 3/1/21: $458,951 (50.022%) 3/1/22: $522,364 (13.817%) 3/1/23: $472,119 (-9.619%)   Here’s what that felt...

How Are Our Funds Affected by the Banking Crisis? Money Not Math 137   Should we let short-term events affect our long-term strategies?   Is your portfolio diversified enough to weather the storms ahead?   Perspective is key when making any and all planning decisions.   #MoneyNotMath #Retirement #RetirementPlanning #5StoneFinancialGroup #BankingCrisis #Strategy #portfolio #diversified #perspective...

Want more success investing? Quit trying to make sense of investing. Money Not Math 136   Intuition usually fails us when it comes to investing. So why do so many people keep trying to “beat” the market?   The arguments against Intuition 1)     Emotion clouds logic and is expensive. Average 3-year return of the index measured and referenced after a 3-year negative period= 14.2%. 14.2% average retu...

It’s BETTER to PLAN Than Predict! Money Not Math 135   Are you #planning for what you want to happen while #preparing for what can happen? “Don’t focus on #predicting what will happen, plan for what can happen,” Co-CEO and CIO of Dimensional, Gerard O’Reilly said.   Do you have an appropriate balance of #stocks or #equities, #bonds, and other #/investments for your situation and goals?   Are you s...

What is Your True Net Worth? Money Not Math 134 Are you #worth more than your #wealth? What are your #goals? What are your most important #relationships? What are your #values? Have you found a way to integrate your wealth with your worth to reflect that? Do you have a #financial #plan that helps lower your #anxiety and feel better about your #life right now so you can spend #MORE #time – and #BET...

You are born based on your circumstances. You die based on your DECISIONS! Money Not Math 133 Either your passion will move a mountain, or your fear will create one. Are you a buffalo or a cow? Create the life you want rather than accepting the life you get. Whose fault is it that our business, personal life, or financial situation is where it is today? (Ours and Ours Alone!) Everybody is going to...

What is your retirement income strategy? Money Not Math 132 What is your plan to make sure you don’t run out of money in retirement while enjoying retirement? What is your plan to deal with sequence of returns risk? Does your plan account for inflation and the rising costs of living before and during retirement? Are you using the fixed safe withdrawal rate, 10% reduction, forgo inflation, guardrai...

Workplace Retirement Plan, Financial Advisor, or Both? Money Not Math 131 Do you believe Financial Advisors have a larger role to play in your retirement planning? “We saw that a remarkable 90% of employees are interested in the support of a financial advisor to guide them through their savings options. The report also found that an overwhelming majority of employees surveyed rank employer-sponsor...

Is your memory your worst enemy? Money Not Math 130 People have memories. Markets don’t. And that’s a good thing. Build your financial plan and start your investing with a clean slate – just like markets do every day. Focus on controlling what you can control. Judge yourself by the quality of your decision and actions, not outcomes. There are so many factors outside your control that can, and like...

What is the BEST way to Grill Steak? Money Not Math 129 Rare, Medium, Well done, or something else? Sear and then lower the temperature, at high heat the whole time, reverse sear or something else? Thank you, Tyler Ust, for your request on my last video for more steak content. I hope you and the others who watch or listen to this enjoy it and it brings you value. The 9 best retirement plans accord...

What is the red stuff in steak? Money Not Math 128 Did you know the red stuff in a rare steak is NOT blood? According to steakschool.com, “Even the rarest and reddest of steaks is actually bloodless. Instead, what you’re looking at is a combination of water, which makes up about 75 per cent of meat, and a protein found in muscle tissue called myoglobin. If that name sounds familiar, it’s probably...

Tips for Last-Minute IRA Contributions. Money Not Math 127 Considering making a last-minute 2022 IRA contribution? Here are some tips and key dates you should know. When is the deadline? Should you do a traditional or Roth contribution? What is the maximum you can contribute? Do you qualify to contribute to a Roth IRA or receive deductions from an IRA? Are you able to use a backdoor Roth IRA? (non...

Developing a Financial Plan You Can Stick With. Money Not Math 126 “Think back to December 2019. The economy was humming. Unemployment, interest rates, and inflation were at historically low levels. But then what happened?” “I don’t know anyone who predicted all of that back in December 2019. But what if someone had? What would you have done? Next question: What if that person told you that, despi...

Biggest Financial Topics of 2022 and Setting Goals for 2023. Money Not Math 125 Market Volatility: “There’s not a single year when the market was always positive. There will be times throughout any year when you see the market drop,” said Wes Crill, Head of Investment Strategist at Dimensional. Stock Performance in Recessions: Crill said. “There is no cookie-cutter recession and no absolute signal...

Congress wants to change how you save for retirement. Money Not Math 124 “The changes come as almost half of older workers have no retirement savings, and many who are socking away money for their golden years are far from their goals. While Americans believe they need savings of $1.25 million to live comfortably in retirement, the typical retirement account holds less than $87,000.” - https://www...